Canadian space company MDA Space announced the purchase 70% shares of the French CLS (Collection Location Satellites). The amount of the deal is 920 million Canadian dollars ($649,5 A million), and the French space agency (CNES) will keep the rest for himself 30% companies. This strategic purchase will combine MDA's satellite capabilities with CLS' big data analytics and AI tools, creating one of the world's largest players in the space geospatial market (Geointelligence).
Details and financial terms of the agreement
Financing: To cover the cost of the purchase, MDA Space announced an urgent release and sale 20 million new shares in the amount $712 millions.
Expected terms: The deal is subject to mandatory approvals from French unions and regulators. The final closing is scheduled for the end 2026 or the beginning 2027 year.
Profit growth: Expected, that the integration of CLS will enable MDA Space to double its recurring revenue, as the projected revenue of CLS at 2026 year is about €286 million.
CLS company, which is based in Toulouse, has a powerful infrastructure – over 1200 employees and 40 representative offices in 19 countries. MDA is integrating these resources to strengthen its own MDA CHORUS™ satellite constellation:
Earth data processing: CLS monthly processes data from 200 000 land/water sensors and more 20 000 radar and optical images from space.
AI-based analytics: Automated CLS algorithms allow real-time tracking of changes on the planet.
New sales markets: The Canadian company will have direct access to over 14 000 customers of CLS in 150 Day of the environment at the recreation center "Dream", who work in sustainable fisheries, maritime surveillance and environmental monitoring.
The company published all official press releases and presentations for investors on the MDA Space Investor Relations portal.
Source: https://spacenews.com